Suppose that prices in the United States rise relative to prices in Japan. We expect that...
Suppose that prices in the United States rise relative to prices in Japan. We expect that
A. the dollar will depreciate, and the yen will appreciate.
B. both the dollar and the yen will appreciate.
C. the dollar will appreciate, and the yen will depreciate.
D. both the dollar and the yen will depreciate.
Homework Answers
Suppose if dollar price Rises as compared to Japan Yen.
it means thedollar value has been depreciated against the yen because more amount of dollar has to pay for less amount of Yen.
for example, if 1 Yen =$1.2 then we can say that dollar has been depreciated and yen has been appreciated answer is option A
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